ICICI Bank's fourth quarter earnings shocked the street on Friday with profit falling sharply by 76 percent to Rs 702 crore, impacted by exceptional provisioning of Rs 3,600 crore. Strong other income, operating profit and tax refund helped the company make profit during the quarter.
Net interest income, the difference between interest earned and interest expended, grew by 6.4 percent to Rs 5,404.51 crore on yearly basis, supported by loan growth of 12 percent.
The bank has continued to see robust growth in its retail business resulting in a year-on-year growth of 23 percent in the retail portfolio that constituted about 47 percent of loan portfolio while deposits growth was 16.5 percent in Q4.
"We are targetting domestic loan growth of 18 percent in FY17," Chanda Kochhar, CEO and MD said while addressing press conference.
The country's largest private sector lender missed analysts' expectations on all counts. According to analysts profit was estimated at Rs 3,115.1 crore (6.6 percent growth YoY) and net interest income at Rs 5,565.2 crore crore (9.6 percent growth YoY) for the quarter.